Friday pop keeps rally on track
12/11/17

All’s well that ends well.

US stocks got their latest record highs out of the way early last week—like, in the first hour of trading on Monday—before slumping for a few days until, finally, rebounding on the back of a strong jobs report Friday morning.

Small-caps were a glaring exception to the rally, as they reversed their recent strength to close out the week with a loss. For the week, the S&P 500 SPX closed up 0.35%, the Nasdaq 100 (NDX) gained 0.11%, the Dow Jones Industrial Average (DJIND) rallied 0.4%, and the Russell 2000 (RUT) dropped -0.98%.

Index comparison, 12/4/17 – 12/8/17

Source: OptionsHouse

Although the market interrupted its intra-week downtrend with an up close on Thursday, it was Friday’s rally after a solid employment report that allowed the broad market to end up in the green. Unemployment held steady at 4.1% while payrolls (+228,000) beat the estimate by nearly 40,000. (Last month’s number was revised downward by 17,000, though.)
S&P 500 (SPX), 10/30/17 – 12/8/17

Source: OptionsHouse

The top-performing S&P sectors for the week were Financials (+1.5%), Industrials (+1.4%), and Consumer Staples (+0.6%), while Utilities (-1%), Real Estate (-0.95%), and Energy (-0.7%) were the biggest drags.
S&P 500 (SPX), 12/26/16 – 12/8/17

Source: OptionsHouse

This week features a couple of potentially market-moving events: an FOMC announcement at 2 p.m. ET on Wednesday afternoon and “quadruple witching” on Friday (when stock options, stock index futures and options, and single-stock futures all expire), which is often good for some end-of-the-week volatility.

Other US economic releases include: PPI-FD (Tuesday); Consumer Price Index, FOMC Meeting Announcement (Wednesday); Retail Sales, Business Inventories (Thursday); Quadruple Witching, Industrial Production (Friday).

 

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